DoD Awards $17.3M Construction Contract to Namwha Construction for Building Projects

Contract Overview

Contract Amount: $17,357,517 ($17.4M)

Contractor: Namwha Construction CO., Ltd.

Awarding Agency: Department of Defense

Start Date: 2005-09-01

End Date: 2009-09-30

Contract Duration: 1,490 days

Daily Burn Rate: $11.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 20

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: PN A04RP02, PRC, MP HILL

Plain-Language Summary

Department of Defense obligated $17.4 million to NAMWHA CONSTRUCTION CO., LTD. for work described as: PN A04RP02, PRC, MP HILL Key points: 1. Contract value of $17.3 million for commercial and institutional building construction. 2. Awarded by the Department of the Army, indicating a significant infrastructure need. 3. Full and open competition was utilized, suggesting a robust market for these services. 4. The contract duration spans nearly four years, implying a complex or lengthy project.

Value Assessment

Rating: fair

The contract value of $17.3 million for construction services needs to be benchmarked against similar projects. Without specific details on the scope of work, it's difficult to assess if this price is competitive. The award amount is close to the estimated value, suggesting reasonable price discovery.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically leads to better pricing and value for the government. This method allows all qualified contractors to bid, fostering a competitive environment that drives down costs.

Taxpayer Impact: The use of full and open competition is generally beneficial for taxpayers as it aims to secure the best possible price for the services rendered.

Public Impact

Impacts military infrastructure development and readiness. Supports the construction industry and associated labor markets. Potential for long-term facility improvements for military personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of specific project details makes value assessment difficult.
  • No indication of small business participation.
  • Contract duration is substantial, requiring careful monitoring.

Positive Signals

  • Full and open competition utilized.
  • Awarded by a major government agency (DoD).
  • Fixed price contract type can control costs.

Sector Analysis

This contract falls under the Commercial and Institutional Building Construction sector. Spending in this sector by the Department of Defense is substantial, supporting military base infrastructure and operational facilities. Benchmarks would typically compare cost per square foot or per project type.

Small Business Impact

The data indicates that this contract was not awarded to small businesses (ss: false, sb: false). Further analysis would be needed to determine if small business set-asides were considered or if the scope of work precluded their participation.

Oversight & Accountability

The Department of the Army's contracting process, including the use of full and open competition, is subject to oversight by various government accountability offices. Monitoring contract performance and adherence to terms is crucial for ensuring accountability.

Related Government Programs

  • Commercial and Institutional Building Construction
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Lack of detailed scope of work.
  • No small business participation noted.
  • Long contract duration increases risk exposure.
  • Potential for cost escalation over the contract period.
  • Limited information on specific performance metrics.

Tags

commercial-and-institutional-building-co, department-of-defense, dca, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $17.4 million to NAMWHA CONSTRUCTION CO., LTD.. PN A04RP02, PRC, MP HILL

Who is the contractor on this award?

The obligated recipient is NAMWHA CONSTRUCTION CO., LTD..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $17.4 million.

What is the period of performance?

Start: 2005-09-01. End: 2009-09-30.

What specific types of buildings or facilities were constructed under this contract, and how does the cost compare to similar construction projects of equivalent scope and complexity?

The provided data lacks specific details on the types of buildings or facilities constructed. To assess value, a comparison with similar projects is necessary, considering factors like square footage, materials, complexity, and location. Without this granular information, a precise cost-benefit analysis against industry benchmarks is not feasible, making it difficult to definitively determine if the $17.3 million represented optimal value.

Given the nearly four-year duration, what are the primary risks associated with project delays, cost overruns, or unforeseen site conditions, and what mitigation strategies were in place?

The extended duration of this contract presents inherent risks such as potential delays due to weather, material shortages, or labor issues. Cost overruns could arise from scope creep or unexpected site conditions. Mitigation strategies might include robust contract clauses for liquidated damages, contingency planning, and regular progress reviews by the contracting officer to identify and address issues proactively.

How effectively did the full and open competition process ensure the best possible price and quality for the government, and were there any challenges in attracting a sufficient number of qualified bi

Full and open competition is designed to maximize the number of bidders, thereby fostering a competitive environment that should yield the best price and quality. The success of this process depends on clear solicitation documents and realistic requirements. Challenges could include the specialized nature of the construction, leading to fewer bidders than anticipated, or the contract's complexity deterring some potential participants.

Industry Classification

NAICS: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W912UM05R0030

Offers Received: 20

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: #635-11, SHINSA-DONG,, SEOUL

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $15,337,088,840

Exercised Options: $15,337,088,840

Current Obligation: $17,357,517

Contract Characteristics

Cost or Pricing Data: NO

Timeline

Start Date: 2005-09-01

Current End Date: 2009-09-30

Potential End Date: 2009-09-30 00:00:00

Last Modified: 2015-11-17

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